Airlines bid to dismiss price-fixing lawsuit rejected

By Eleanor Steed
October 31, 2016 16:00

Four US airlines – American Airlines, Delta Air Lines, Southwest and United Continental – have lost a bid to dismiss nationwide antitrust litigation by passengers who have claimed they conspired to raise fares by keeping seating capacity artificially low. The airlines claimed that there was no proof of an agreement to collude, or that they reduced capacity in tandem. However, US District Judge Colleen Kollar-Kotelly said she could “reasonably infer the existence of a conspiracy” to fix prices. She did not rule on the merits of the case, which combines 105 lawsuits and seeks triple damages.